Audit-Report-on-NNPC

Investigative Forensic audit of crude oil revenues and remittances by NNPC (January 2012 – July 2013)
4.6.6. Subsequent information after submission of draft report
After the submission of our initial report to the <strong>Audit</strong>or-General of the Federation on 28 November
2014, the following was brought to our attention by NNPC regarding Pipeline Maintenance and
Management Costs:
Initial submission made to the Senate Committee was understated and did not include all the
costs defrayed from the proceeds of domestic crude revenue by NNPC in accordance with the
NNPC Act. These costs also largely include the amounts incurred by the Corporation’s
subsidiaries.
Initial submission included costs incurred between January to March 2012 which could not
have been deducted from revenues from domestic crude oil liftings between January 2012 to
July 2013. The new information has therefore included costs covering April 2012 to October
July 2013.
The table below summarizes the comprehensive cost information provided by NNPC as
incurred between April 2012 and October 2013 (the period when the associated revenues
from January 2012 to July 2013 crude liftings would have been received).
Comprehensive NNPC costs between April 2012 - October
2013
Expense type Total ($)
Salaries and benefits 1,522,258,663
Monthly operations 478,684,782
Other third party payments (including training 955,212,837
course fees, estacodes, and consultancy fees)
Total costs 2,811,153,197
We confirmed these additional costs received to the group’s accounting platform on SAP.
Vanguardngr
Confidential information for the sole benefit and use of the <strong>Audit</strong>or-General for the Federation.
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